Agency is a legal relationship between two people where one of them, the principal, given to the other, the agent, the authority to create legal relations between the principal and the third party. If the agent acts within his or her actual authority, either express or implied, or within his or her ostensible authority, such act will bind the principal: that is the principal can take action in his or her own name to enforce the contract made by the agent or become personally liable should the contract be breached.
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